Business interruption insurance is a special cover that protects your business income from the effects of disasters and other major elements that can affect your business operations. For example, if there is a fire in your business premises, fire insurance may help you replace the assets that you lost, but how about the lost income during this period? This is where business interruption insurance kicks in, helping you not just get back the assets you lost, but also the lost income that you didn’t earn when your business was closed and non-functional.
Business Interruption Insurance Explained
Business interruption insurance is usually not sold as a separate policy. Still, it is typically attached to other policies such as commercial insurance policies, fire insurance policies, and so on. In most cases, this insurance policy will have clauses that exclude certain events from the cove. For example, apart from a few rare cases, business interruption insurance will not cover lost revenue if the business is shut down due to non-compliance with federal or state laws. Like other policies, business interruption insurance premiums are tax-deductible in the State of Illinois. The amount that the insurance policy will pay out in case of business interruption is typically based on the past revenue of the business. Typically, the policy will cover the period between the interruption and when the business returns to the state it was in before the disaster.
Why Your Illinois Business Needs Business Interruption Insurance
Here are some reasons you should consider business interruption insurance for your Illinois business.
- Business interruption insurance helps ensure that you don’t lose any revenue while your business is closed.
- If you have mortgages or other regular payments, business interruption insurance ensures you can still make these payments without having to dip into your capital, savings, or personal finances.
- Maintaining payments, even during a disaster, helps your business maintain good standing with creditors and helps with future business relationships.
- Business interruption insurance helps you not lose key employees, as you can still pay salaries and other personnel costs even when your business is non-operational.
We Can Help You Get Business Interruption Insurance Coverage Today
As an independent insurance agency, you can have the peace of mind that we will not sell your data to any third party. Instead, OnQuote Insurance Agency makes it easy for you to get the insurance cover you need by giving you quotes from highly rated insurance companies. Our team of professionals at OnQuote Insurance Agency is based in Illinois and we have years of experience in the insurance industry. We guide you on all aspects of the insurance cover, so you have the assurance that you are adequately protected. Get in touch with us today.